McDonald's has surprised many of its customers who enjoyed a sweet touch with their morning coffee with some news. The famous fast food chain had managed to attract new consumers with an innovative proposal in its locations. However, the story of this collaboration has taken an unexpected turn in recent days.
The burger giant has decided to end its partnership with Krispy Kreme, putting an end to the sale of its popular donuts in the United States. Starting July 2, both companies officially confirmed that their commercial agreement will not move forward. According to the statements, the figures did not justify keeping the project and the financial goals were not met for either party.
An ambitious plan that did not achieve the desired success
The alliance between McDonald's and Krispy Kreme had been announced with much anticipation in March 2024. The project was consolidated after several tests in 160 locations in Kentucky with three varieties: the Original Glazed Doughnut, the Chocolate Iced with Sprinkles, and the Chocolate Iced Kreme Filled. The initial success led the chains to quickly expand to more than 2,400 restaurants in Indiana and Kentucky by March 2025.
The original plan aimed to offer the donuts nationwide before the end of 2026. However, in May, Krispy Kreme acknowledged that it was "reassessing the rollout schedule together with McDonald's." They stated that they did not plan to add new locations in the second quarter of 2025 while they searched for a profitable business model, according to Men's Journal.
Finally, both companies concluded that the project was not economically viable for the famous donut chain. McDonald's emphasized in its statement that "Krispy Kreme represented a small and insignificant part of our breakfast business." Despite the positive reception from customers, sales did not cover the costs faced by its partner.
The reasons behind a foreseen breakup
Josh Charlesworth, CEO of Krispy Kreme, explained that they did not "align our costs with the demand per unit." This difficulty was key for the business to become "unsustainable" in the medium term. In the executive's words, the challenge was to balance the distribution and production expenses for thousands of locations with actual sales.
Meanwhile, Alyssa Buetikofer, Chief Marketing and Customer Experience Officer of McDonald's USA, assured that the collaboration was solid and of high quality. "We had a great collaboration with Krispy Kreme and they delivered an excellent product," she stated in the official announcement. However, she clarified that "this needed to be a profitable model for Krispy Kreme as well" and not just for McDonald's.
Both chains expressed mutual appreciation for the joint work, although there will not be more deliveries in the near future. For fans of these donuts, the news means saying goodbye to a very popular option on McDonald's menu. It is clear that, for now, the combination between this famous fast food chain and Krispy Kreme is living on borrowed time in the United States.